§9071 Milk Donation Program

Summary

The Secretary must set up and run a milk donation program within 180 days after December 20, 2018. The program’s goals are to encourage donations of Class I fluid milk made in the U.S., give nutrition help to low-income people, and cut food waste. Dairy farmers or processors pair with nonprofit distributors and send the Secretary a plan saying how donated milk will be handled, how much they expect to donate (including backup plans), and the percentage rate they will be paid (up to 100%). The Secretary reviews plans at least once a year, can approve or deny them, and will reimburse participating dairy organizations for approved costs when they submit required paperwork. The Secretary may check records by spot checks or audits and may pay costs that happened before plan approval. Defined terms in one line each: eligible dairy organization — a dairy farmer or processor who accounts to a Federal milk marketing order pool and has qualifying costs; eligible distributor — a nonprofit that gives out donated milk; eligible milk — Class I fluid milk made and processed in the U.S.; eligible partnership — a dairy organization working with a distributor; participating partnership — an eligible partnership the Secretary has approved. Payments equal donated milk times the agreed percentage but cannot exceed the dairy’s pool-accounted value difference between Class I and the lower of Class III or Class IV for the month. The Secretary must offer a preapproval process, favor partners who add extra cash or in-kind help, allow increases when needed (including interim increases), ban any distributor that resells donated milk from future participation, publicize the program, and perform reviews. Funding: $9,000,000 for fiscal year 2019 and $5,000,000 for each fiscal year after, available until spent.